Personal Loans Snapshot: June 2021

Personal Loans Snapshot: June 2021

With June finally here, we’re now reaching the tail-end of the current financial year. Last month we were kept on our toes in terms of interest rate changes, so we’re quite eager to roll up our sleeves and dive into the latest personal loan happenings with our June 2021 market update:

One trend that we’ve reported on countless times has been the rise in Aussies taking out personal loans to fund home renovation plans in 2021. Additionally, we’ve seen a few new trends in the personal loan sphere.

As per the latest ABS Lending Indicators release, it appears that new loan commitments (seasonally adjusted) for fixed-term personal loans increased by 2.1% in March 2021. Interestingly, the release also noted that the value of new loan commitments for road vehicles shot up by 4.5%

Personal loan interest rate changes:

As for personal loan interest rates, here are some of the changes that have taken place since last month’s check-in:

Interest rate cuts:

  • Alex just cut 4 basis points off the starting rate of its fixed unsecured Personal Loan, bringing it down to 5.45% p.a. (5.45% p.a. comparison rate*).
  • ANZ has dropped the fixed rate on its Unsecured Personal Loan down by 151 basis points, to 8.99% p.a. (9.88% p.a. comparison rate*), as well as the variable-rate by 249 basis points, now at 10.50% p.a. (11.38% p.a. comparison rate*) as a promotional offer.
  • Bankwest has slashed 100 basis points off of its fixed Car Loan rate, now at 6.99% p.a. (7.34% p.a. comparison rate*).
  • Commonwealth Bank’s fixed Unsecured Personal Loan saw a 250 basis point rate cut, taking it down to 9.00% p.a. (9.90% p.a. comparison rate*).
  • Heritage Bank brought its fixed Car Loan rate down by 110 basis points, making it 4.89% p.a. (5.53% p.a. comparison rate*). Then its fixed-rate unsecured Standard Personal Loan saw a 100 basis point cut, making it 7.99% p.a. (8.62% p.a. comparison rate*).
  • SocietyOne dropped the starting rate on its fixed Unsecured Personal Loan by 44 basis points taking it down to 5.95% p.a. (5.95% p.a. comparison rate*).

Which lenders stand out?

Following all the recent changes, the lenders with the lowest personal loan interest rates in the Mozo database are Alex, Australian Military Bank, Credit Union SA and Transport Mutual Credit Union. As per usual, the smaller mutual banks and credit unions are where to go for a more competitive rate.

How about big-name lenders?

While a few different big bank rate changes have popped up over the last month, be aware that big bank personal loan interest rates do tend to sit higher than most competitor lenders.

For example, the Commonwealth Bank’s Unsecured Variable Personal Loan interest rate currently sits just below 12% - quite a stretch from the lowest interest rate in the Mozo database which sits at 4.15% p.a.

Variable rate personal loans:

At present, the ‘lowest big bank variable rate personal loan’ in the Mozo database is the NAB Personal Loan (Variable, Unsecured) which recently saw a 5.70% basis points cut on 21 April 2021 - bringing it down to 6.99% p.a. (7.91% p.a. comparison rate*).

At the other end of the scale, following ANZ’s recent rate cuts on 12 May 2021, the Commonwealth Bank Unsecured Variable Personal Loan now takes the cake for having the highest big bank variable rate in the Mozo database with its 11.50% p.a. (12.38% p.a. comparison rate*).

Fixed rate personal loans:

As for the lowest big bank fixed interest rate in the Mozo database, that belongs to NAB following its 5.70% basis-point cut to its Personal Loan (Fixed, Unsecured) on 21 April 2021, which now offers a 3-year fixed rate of 6.99% p.a. (7.91% p.a. comparison rate*).

Changes have been happening left, right and centre among fixed-rate personal loans. Last month we saw ANZ take NAB’s spot for having the highest big bank fixed rate in the Mozo database. This month, however, the title goes to Westpac for its (Fixed, Unsecured) Personal Loan which has a 3-year fixed rate of 9.99% p.a. (11.16% p.a. comparison rate*).

Personal loan rates of note in June:

Compare Personal Loans today - last updated 21 May 2022

Search promoted personal loans below or do a full Mozo database search. Advertiser disclosure
  • Unsecured Personal Loan


    interest rate
    comparison rate
    Monthly repayment
    5.35% 19.09% p.a.
    6.14% 19.99% p.a.based on $30,000
    over 5 years

    Fast, easy and 100% online, this is a low cost loan with no ongoing fees or extra repayment penalties. It's perfect for savvy borrowers with great credit. If you’re over 18 and earn above $30,000, you could qualify (other eligibility criteria may apply).

    Repayment terms from 3 years to 7 years. Representative example: a 5 year $30,000 loan at 5.35% would cost $34,832.61 including fees.

  • Home Improvement Loan

    Fixed, Unsecured

    interest rate
    comparison rate
    Monthly repayment
    5.75% p.a.
    5.96% p.a.based on $30,000
    over 5 years

    Handypay offers flexible home improvement loans for Excellent Credit or better. Handypay is a specialist home improvement plan provider and offers loans up to $75,000.

    Repayment terms from 1 year to 7 years. Representative example: a 5 year $30,000 loan at 5.75% would cost $34,840.18 including fees.

  • Personal Loan


    interest rate
    comparison rate
    Monthly repayment
    5.75% 25.99% p.a.
    6.68% 29.2% p.a.based on $30,000
    over 5 years

    Repayment terms from 2 years to 7 years. Representative example: a 5 year $30,000 loan at 5.75% would cost $35,370.18 including fees.


After more personal loan options? Then head on over to our handy personal loans comparison tool where you can compare loads of different loan options today!

* WARNING: The Comparison Rate combines the lender's interest rate, fees and charges into a single rate to show the true cost of a personal loan. The comparison rates displayed are calculated based on a loan of $30,000 for a term of 5 years or a loan of $10,000 for a term of 3 years as indicated, based on monthly principal and interest repayments, on a secured basis for secured loans and an unsecured basis for unsecured loans. This comparison rate applies only to the example or examples given. Different amounts and terms will result in different comparison rates. Costs such as redraw fees or early repayment fees, and cost savings such as fee waivers, are not included in the comparison rate but may influence the cost of the loan.

^See information about the Mozo Experts Choice Personal Loan Awards

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